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AUSCO - Hypothetical case study

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AUSCO - Hypothetical case study
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Management consultants often confuse a lack of terminology as a lack of strategy development.  Even worse, if they don't see strong evidence of their own preferred "strategy framework", they can mistakenly think a client lacks strategy and inadvertently destroy a great deal of effective strategic planning and implementation. For example, a growing and profitable firm, let’s call it AUSCO for convenience, has developed an ability (and preference) for sustaining organic growth. AUSCO uses a flat management structure to put authority and responsibility close to the coal face and recruits experienced, proven, ambitious people. AUSCO supports advanced communications technology, collaborative special interest and technical development groups. AUSCO often tackles quite difficult and challenging Image assignments, almost as a preference. The company enjoys the respect and continuing engagement of its customers. Whilst AUSCO management admits it has its challenges, it is growing profitably with staff turnover relatively low and a high frequency of repeat business. AUSCO has an effective strategic framework. But would a management consultant specializing in strategy development be able to recognize it? Can you?

AUSCO never used the equally famous Boston Consulting Group ‘Portfolio Matrix’. It has no competitor analysis it can point to, virtually no customer research, no perceptual maps, no brand propositioning strategy, no value chain analysis, no six sigma. What it does have is a strong and frequently articulated culture of doing whatever it takes to deliver high value to its clients.

Like accounting, medicine and any other profession, strategy consulting has developed a language few outside the Image profession use all that often – especially clients. But just because the strategy was not deliberately constructed according to a pre-ordained model or framework, does not mean there is not a strategy. Much of what managers do is intuitive and much of what happens is learning to do what works and learning not to do the things that don’t work – even if that learning is not consciously mapped to a framework – much less articulated as a ‘theory’. Moreover, much of what is happening is invisible without a trained and informed eye, and consultants are often trained in their preferred methodology, but not the client's.

So armed with the language of strategy and a methodology for management consulting and strategy development, consultants can and do make the client feel disarmed.  Worse, the combination of some great consulting charts, the identification of threats and the client’s inability to articulate their strategy with the same directness and structure as the consultant, leaves the client experiencing a rising sense of anxiety [and client anxiety is the foundation of all consulting work] that is wholly unwarranted. It is worth reflecting on what strategy AUSCO has in place.



 

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